Entering Covenant Test Parameters

  To enter covenant test parameters:

  1. On Accounts, select the Covenant Test accounts (v6500.00 - v6520.00).

  2. Change the account name to match your analysis.

    In this example change the name to ‘Working Capital Test’ and change the two related account names to ‘Working Capital Actual’ and 'Working Capital Result’.

  3. Using Account Forecast, change the forecast method to reflect the test parameter data format.

    In the example, enter or forecast working capital in Specified Currency.

  4. Enter the test parameter data in all periods.

    In the example with four years, enter 100, 150, 200 and 250 respectively.

  5. Select Accounts, then User Defined Accounts.

  6. In User Defined Accounts, click Covenant and select Working Capital Test.

  7. Select the Output Type (currency) and Output Units .